"Our project is very well advanced," Ms Rinehart said. "We have
done very detailed studies and it would not be humanly possible at
this time, when we're due to submit a development proposal, to
change all the work that has been done."

The two mining hopefuls have been in Beijing for the last two
days, attending a Metals Bulletin iron ore conference and talking
up the benefits of having new players in the Australian industry to
Chinese steel companies smarting under this year's 71.5 per cent
price increase.

Hancock Prospecting, founded by Ms Rinehart's late father, Lang
Hancock, is talking to Chinese steel mills and other prospective
users about long-term contracts to underpin the planned $2.16
billion Hope Downs mine.

With 70 per cent project financing, she hopes to start
construction mid-year and start shipping ore at the beginning of
2008.

Mr Forrest's Fortescue Metals is likewise working up backing for
its $1.85 billion new iron mine in the Chichester Ranges, though
doubts have recently surfaced in China and Australia about the
firmness of infrastructure commitments by Chinese groups announced
last year.

Both projects have been excluded from use of the existing
Pilbara infrastructure built and operated by BHP Billiton, so
completely new railways and loading ports are required.

Mr Forrest said the infrastructure accounted for about 40 per
cent of his project's total cost. Ms Rinehart put the proportion
higher with Hope Downs, with the railway costing $1.07 billion and
the port $560 million out of the $2.16 billion total.

Fortescue was the only player that had put its railway under the
WA state railway system, Mr Forrest said. "We are the only company
to do that and it proves our bona fides."

His company's railway would run parallel to that of BHP's
Pilbara mines for hundreds of kilometres, he said. By linking the
lines at top and bottom, the capacity would be more than
doubled.

It is understood Mr Forrest has made little progress in talking
to Ms Rinehart about a link between their schemes. "China needs
both projects," he said. "Sharing infrastructure is the most
efficient use of infrastructure."

Yesterday Ms Rinehart said the planning for Hope Downs had been
done on the basis of a single user, and would require "completely
different" designs to accommodate another.